Gig economy affecting jobsThe gig economy is affecting all kinds of full time jobs now that are going to affect the future.

Glossary

database - A location of related information

depreciation - decrease in value

platform - similar operating system

en masse - in a group or all together

desegregate - open to all people

self-employed - working for yourself

What is the Gig Economy?

The gig economy is like a database of jobs, none of them stable to be full time jobs to support a family. Paul Kilduff, writer of “Danville: Seminar to shed light on jobs in new gig economy,” says, “Organizer Mike Hayes, a 25-year veteran of branding and direct-response advertising, defines a gig job as one where a worker is hired for ‘a single project or task, often through a digital marketplace, to work on demand.’” These jobs can range between uber to taskrabbit to Airbnb. Since there is a wide variety of these jobs they have many workers that's always increasing. Christopher Niesche, writer of “The rise of the gig economy,” says “the number of Australians undertaking some form of freelance work has risen from 3.7 million in 2014 to 4.1 million in 2015.” These freelance jobs like uber and lyft maybe more beneficial in busy cities like New York since it would be more efficient than owning a car but that's just a broad opinion.

Why might people prefer Uber's over owning a personal car?

Depending on how far one needs to travel and how often and where they live maybe why people prefer Uber's over owning a car. Uber's are favorable in crowded cities with needing a ride across town over a car for not needing to park or worry about other factors like security, cost, and speed. “ditching a personally owned car in favor of ride sharing apps might make financial sense. However, even if it is cheaper for some, many people will still prefer owning cars for convenience, flexibility, family necessities, and longer distance trips.” says, Elena Holodny, writer for Business Insiders. Depending on preference and financial status one is going to be more convenient. “This brings total costs to $18,115 per year ($1,509 per month) if you used UberX to drive everywhere. Unfortunately, even without car payments and depreciation, fuel costs, interest, insurance, maintenance and repairs, registration and taxes, parking fees, speeding tickets and opportunity costs, Uber is still slightly more expensive for the average American who drives 13,476 miles per year.” says, Kyle Hill, Founder and CEO of HomeHero. Since we’re talking about preference and options, how would some like to live in different options for travel.

What's the difference between hotels and Airbnb?

Depending on if you want a cheap or expensive, legal or illegal place to stay will determine if you want to pay for a hotel or Airbnb. “On December 19, 2016, the state passed a new law making it illegal for Airbnb hosts to advertise entire, unoccupied apartments for less than 30 days on Airbnb or any similar platform. It has always been illegal to rent short-term, but now it is illegal to advertise. And breaking the law carries a penalty of up to $7,500,” says Isabel Guerriera, writer for BK Reader. This law affects the providers more than the renter, but the providers gain the money and it's cheaper for the renter. Aamna Mohdin, states, “Last year, for instance, a study found renting an entire home on Airbnb costs less than a single hotel room 20 biggest US markets listed on the site. On average, the daily rate for an Airbnb house rental was $160.47 compared to $163.90 for a hotel room.” Hotels and taxis being full times jobs and more expensive than gig jobs like Uber and Airbnb have affected the job market.

How do gig economy jobs change full time jobs?

Jobs that are connected to the gig economy are taking over full time jobs and are cheaper for the company to pay them than full time workers but at a harmful consequence. “According to a report from Harvard and Princeton economists, nearly all of that job growth -- about 94 percent -- is the result of alternative careers, freelancing, Small Office/Home Office (SOHO) businesses and the ‘gig economy.’ Unskilled factory jobs have been relegated once-and-for-all to automation and robotics, and to a lesser degree offshoring… Not only do today’s jobs require a different set of skills, today’s jobs require us to re-think what a ‘job’ really is,” claims, Dan Blacharski. Gig economy jobs are growing but the workers aren't stable enough for the company to have these workers over full time employees. According to Tony Featherstone, writer at brisbanetimes, states, “It is a question of balance. Some companies have moved so far from hiring full-time staff that they rely on an army of casuals/ contractors/ freelancers/ consultants. Their business would stop in its tracks if on-demand workers left en masse, at little notice.” These gigs are going to affect the economy in many ways but will it last.

How will the gig economy affect jobs for the next 10 years

The gig economy will kill full time jobs and make them freelancing jobs or part time. Sarah Coles, writer of “The 'gig economy' will kill your nice, secure job,” states, “John Marshall, Chief Strategy and Innovation Officer at Lippincott says: ‘They will desegregate, so they don't need employees, they can just have people log onto platforms and do tasks for them. People won't work for one employer, they will work in six different places, and just do the things that add the most value.’” Since the rate of freelancers is rising by 2020 there is going to be a change in the gig economy. “PeoplePerHour, an online platform for freelancers estimates that one in two people in the US and the UK will freelance by 2020. And consultancy firm PwC predicts that by 2020, the global market for gig economy organisations and services will be worth about US$63 billion — a large leap from its total value in 2014 (US$10 billion),” according to The Press Release. This means most jobs are going to be connected to gig economy making life easy or a struggle depending on your skill and flexibility.

The video explains the gig economy and it shows has always been available and is nothing new to the world. It is only now being more noticeable to the world.